CEN Claren Energy Corp

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UNITED STATES NEWSWIRE SERVICES


Coastal Energy Company ("the Company") (TSX VENTURE:CEN)(AIM:CEO), an
independent exploration and production company with assets in Southeast Asia,
announced today that its wholly owned subsidiary, NuCoastal (Thailand) Limited,
has signed a Letter of Intent ("LOI") with Deep Drilling 7 Pte. Ltd. for a
three-month charter of the newbuild jackup rig "Deep Driller 7".


The rig, a Baker Marine Pacific Class 375, is currently undergoing acceptance
testing at the PPL Shipyard in Singapore and is expected to commence operations
in the Company's Songkhla field in the Gulf of Thailand by late September 2008.
The LOI allows for an extension of up to an additional three months.


Drilling capital expenditures are expected to be approximately $9 million higher
over the three month period utilizing the Deep Driller 7 rather than the
originally contracted jackup. Management believes that the incremental costs
will be largely offset by increased efficiency gains.


Randy Bartley, Chief Executive Officer of Coastal Energy commented: "We are
excited to finalize this agreement. The Deep Driller 7 will help the Company
achieve its goal of first production at Songkhla by year end."


The Company has retained the option to utilize the previously contracted rig, if
appropriate, pursuant to the amended drilling contract.


Notes to Editors

- Coastal Energy is an oil and gas exploration, development and production
company, with core assets onshore and offshore Thailand


- The Company specialises in identifying and developing under-exploited or
"orphaned" or assets. Management has proven experience at identifying and
unlocking value from overlooked, abandoned, low risk assets with proven
hydrocarbon potential


- This strategy has enabled the Company to assemble an asset base in Thailand
that includes production of approximately 11.5 mmcf/d of gas under long term
contract and offshore oil fields currently under development


- Production growth over the next 12 -18 months is expected to grow
exponentially and proven, probable and possible reserves are 45.5 million
barrels oil equivalents(i)


- The Company's current assets include:

- Offshore Thailand

-- 100% of block G5/43 - two oil fields currently under development with several
other appraisal and exploration opportunities. Production is expected to
commence Q4 2008


-- 100% of block G5/50 - within the boundaries of block G5/43 in the Ko Kra basin

- Onshore Thailand

-- 12.6% net interest in blocks EU1 and E5N which include the Phu Horm gas
field, which was producing in excess of 100 mmcf/d at the end of the first
quarter 2008.


-- 36.1% net interest in block L15/43 surrounding the Phu Horm field

-- 36.1% net interest in block L27/43 - containing the undeveloped Dong Mun gas
field


-- 21.7% net interest in block L13/48 located adjacent to blocks L15/43 and
L27/43, contains Si That discovery


Additional information, including the Company's complete competent person's may
be found on the Company's website, www.CoastalEnergy.com or may be found in
documents filed on SEDAR, www.sedar.com.


This statement contains 'forward-looking statements' as defined by the
applicable securities legislation. Statements relating to current and future
drilling results, existence and recoverability of potential hydrocarbon
reserves, production amounts or revenues, forward capital expenditures,
operation costs, oil and gas price forecasts and similar matters are based on
current data and information and should eb viewed as forward-looking statements.
Such statements are not guarantees of future results and are subject to risks
and uncertainties beyond Coastal Energy's control. Actual results may differ
substantially from the forward-looking statements.


(i) Per barrel of oil equivalent ("boe") amounts have been calculated using a
conversion rate of six thousand cubic feet of natural gas to one barrel of oil
equivalent (6:1). The term boe may be misleading, particularly if used in
isolation. A boe conversion ratio of 6mcf: 1bbl of oil is based upon an energy
equivalency conversion method primarily applicable at the burner tip and does
not represent a value equivalency at the wellhead.


These securities have not been registered under United States Securities Act of
1933 (the "US Securities Act") or the securities laws of any state and may not
be offered or sold in the United States or to US persons (as defined in
Regulation S under the US Securities Act) unless an exemption from registration
is available.

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